asked 56.6k views
4 votes
How do subsidies make goods cheaper in a country?

asked
User Fpietka
by
7.7k points

1 Answer

5 votes

Answer:

When government subsidies are implemented to the supplier, an industry is able to allow its producers to produce more goods and services. This increases the overall supply of that good or service, which increases the quantity demanded of that good or service and lowers the overall price of the good or service.

Step-by-step explanation:

answered
User Akwasi
by
7.8k points
Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.